Ethics

Complexity and the professional accountant: Practical guidance for ethical decision-making (Paper 1)

The accountancy profession is evolving to address changing stakeholder needs while continuing to meet public interest responsibilities. Get practical guidance on ethical decision-making as a professional accountant, professional accountancy organization, educator or employer.

Identifying and mitigating bias and mis- and disinformation

Fake news. Misinformation. Bias. These unfortunate realities create opportunities and challenges for accountants responsible for providing reliable and trustworthy information to their clients.

Technology is a double-edged sword: Opportunities and challenges for the accountancy profession

Professional accountants play a key role in helping organizations navigate technological changes in an ethical manner. To do so, they must understand how to respect technology’s double-edged sword—actively pursuing opportunities while safeguarding against challenges.

5 Ethics Challenges that Will Intensify as the Pandemic Wanes

For more than a year, the world has been duly tested by the challenges resulting from the COVID-19 pandemic. In response, professional accountants have shown tremendous resilience. However, as jurisdictions around the world progress toward a more hopeful future, the ethics challenges the accountancy profession and stakeholders face are far from over.

Ethics for sustainable AI adoption: connecting AI and ESG

Artificial intelligence (AI) is relevant to accountancy and finance professionals because it is moving from the experimental stage to adoption at scale over the decade of the 2020s.

Ethical leadership in an era of complexity and digital change: Introduction

As ethical leaders and trusted advisors, CPAs rely on professional skills, values, ethics and attitudes to serve their organizations and clients. Learn how complexity in the professional environment, digital disruption, and mis/disinformation can impact your work.

Ethical Leadership in an Era of Complexity and Digital Change: Paper 1

This paper is the first of four thought leadership pieces that build on a collaborative exploratory paper and global roundtable event held jointly with Chartered Professional Accountants of Canada (CPA Canada) and the Institute of Chartered Accountants of Scotland (ICAS), entitled Ethical Leadership in an Era of Complexity and Digital Change. The exploratory paper, a summary of the event, and an on-demand recording are available here. The paper was also informed by diverse stakeholder views gathered through the IESBA’s broader technology initiative.

Gen Z Holds Positive Views of Accounting Careers but many Question Business Leaders' Integrity

Eighteen to 25-year-olds entering the workforce, known as Gen Z, are primarily concerned about job security, well-being and mental health, according to a recent global survey. They see accountancy as an attractive career that offers long-term prospects. However, many question the integrity of business leaders.

IESBA Warns of Rising Ethical Challenges as Pandemic Recedes

Professional accountants showed resilience during the pandemic but, as the world recovers, the International Ethics Standards Board for Accountants warns that ethics challenges for the accountancy profession and stakeholders remain and might intensify.

IESBA STAFF RELEASES FAQS ON REVISED FEE-RELATED PROVISIONS OF IESBA CODE

The Staff of the International Ethics Standards Board for Accountants (IESBA) today released a set of frequently asked questions (FAQs) on the recently revised fee-related provisions of The International Code of Ethics for Professional Accountants (including International Independence Standards) (the Code)*.

2021 HANDBOOK OF THE INTERNATIONAL CODE OF ETHICS FOR PROFESSIONAL ACCOUNTANTS

This 2021 edition contains recently approved revisions to the Code, including:

• The revisions to Part 4B to align terms and concepts used in the Code to those in the International Auditing and Assurance Standards Board’s (IAASB) International Standard on Assurance Engagements (ISAE) 3000 (Revised). Those revisions became effective in June 2021.
• The revisions to Parts 1 and 2 to promote the role and mindset expected of professional accountants. Those revisions will become effective in December 2021. Early adoption is encouraged.

Final Pronouncement: Revisions to the Fee-Related Provisions of the Code | IESBA

The revisions to the fee-related provisions of the code include a prohibition on firms allowing the audit fee to be influenced by the provision of services other than audit to the audit client; in the case of PIEs, a requirement to cease to act as auditor if fee dependency on the audit client continues beyond a specified period; communication of fee-related information to TCWG and to the public to assist their judgments about auditor independence; and enhanced guidance on identifying, evaluating and addressing threats to independence.

Final Pronouncement: Revisions to the Non-Assurance Service Provisions of the Code | IESBA

The revised NAS provisions contain substantive revisions that will enhance the International Independence Standards (IIS) by clarifying and addressing the circumstances in which firms and network firms may or may not provide a NAS to an audit or assurance client. The revised provisions include new requirements that expressly prohibit firms and network firms from providing certain types of NAS to their audit clients, especially when they are public interest entities (PIEs).

Greater Transparency and Accountability in the Public Sector

The public sector is an essential part of every economy. Governments spend large sums of public money on a range of services and infrastructure for their citizens. And in times of crisis, such as the 2008 global financial crisis, and more recently the COVID-19 global pandemic, governments increasingly use fiscal policy measures to support public social, infrastructure and health systems, and provide direct financial support to businesses and citizens through measures such as income support and unemployment benefits. Only governments are able to provide this kind of support at scale during these crises.

Illegal Acts: The External Auditor’s Responsibilities

Recent global corporate fraud scandals such as those related to Wirecard in Germany and Carillion in the United Kingdom have driven a focus by capital market participants on the auditor’s role in identifying and detecting fraud. Certain audit regulators, including the International Auditing and Assurance Standards Board (IAASB) and the Public Company Accounting Oversight Board (PCAOB) have taken action with respect to fraud.

Technology is a double-edged sword with both opportunities and challenges for the accountancy profession: Paper 2 | IFAC

This paper is the second of four thought leadership pieces that build on a collaborative exploratory paper and global roundtable event held jointly with Chartered Professional Accountants of Canada (CPA Canada) and the Institute of Chartered Accountants of Scotland (ICAS), entitled Ethical Leadership in an Era of Complexity and Digital Change. The exploratory paper, a summary of the event, and an on-demand recording are available here. The paper was also informed by diverse stakeholder views gathered through the IESBA’s broader technology initiative.

Proposed Revisions to the Definitions of Listed Entity and Public Interest Entity in the Code | IFAC

This exposure draft proposes revisions to the International Code of Ethics for Professional Accountants (including International Independence Standards) that broadens the definition of a public interest entity (PIE). These revisions include more categories of entities, given the level of public interest in their financial condition, for the purposes of additional independence requirements to enhance confidence in their audits.

Ethics, Technology, and the Professional Accountant in the Digital Age

Change is here - and more is coming - for the accountancy profession. New technologies are driving that change. This is nothing new: the profession adapted and thrived through the past century of technological revolution. But success is not a given. The profession will achieve it only with thorough and thoughtful responses to today’s challenges and preparation for those to come.